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1) Risk and probability Micro-pub, Inc., is considering the purchase of one of two microfilm cameras, R and S. Both should provide benefits over a10-year period, and each requires an initial investment of $4,000. Management has constructed the following table of elements of rates of return and possibilities for pessimistic, most likely, and optimistic results.
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FIN 419 ASSIST Career Path Begins/fin419assist.com CJA 234 MART The power of possibility/cja234martdotcom FIN 419 Final Exam Guide (New) FOR MORE CLASSES VISIT www.fin419assist.com 1) Risk and probability Micro-pub, Inc., is considering the purchase of one of two microfilm cameras, R and S. Both should provide benefits over a10-year period, and each requires an initial investment of $4,000. Management has constructed the following table of elements of rates of return and possibilities for pessimistic, most likely, and optimistic results. 2) Capital asset princing model (CAPM) Use the capital asset princing model to find the required reurn. 3)a. What single investment made today, annual interest, will be worth $3,500 at the end of 10 years?
FIN 419 ASSIST Career Path Begins/fin419assist.com CJA 234 MART The power of possibility/cja234martdotcom FIN 419 Final Exam Guide FOR MORE CLASSES VISIT www.fin419assist.com True/False (1point each) 1. The sole proprietor has unlimited liability; his or her total investment in the business, but not his or her personal assets, can be taken to satisfy creditors. 2. Time-value of money is based on the belief that a dollar that will be received at some future date is worth more than a dollar today. 3. Holders of equity have claims on both income and assets that are secondary to the claims of creditors. 4. The possibility that the issuer of a bond will not pay the contractual interest or principal payments as scheduled is called maturity risk.
FIN 419 ASSIST Career Path Begins/fin419assist.com CJA 234 MART The power of possibility/cja234martdotcom FIN 419 Week 1 DQ 1 FOR MORE CLASSES VISIT www.fin419assist.com What is a sensitivity analysis? What is a scenario analysis? How would you apply each one to a potential investment opportunity? How would you use the information from this analysis? Explain.
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FIN 419 ASSIST Career Path Begins/fin419assist.com CJA 234 MART The power of possibility/cja234martdotcom FIN 419 Week 1 Individual Assignment Richardses’ Tree Farm Grows Up Case Study FOR MORE CLASSES VISIT www.fin419assist.com Review the "Richardses' Tree Farm Grows Up - Mini Case" located in Chapter 1 of Financial Management: Core Concepts. Develop a 1,050-word analysis of the case study. Include the following: Analyze whether the major financial management decisions of the Richards family involve capital budgeting, capital structure, and working capital management. Explain whether the Richards family should form a regular corporation or choose one of the hybrid forms. Explain how incorporating will affect the Richards family's ability to transfer ownership to their children.
FIN 419 ASSIST Career Path Begins/fin419assist.com CJA 234 MART The power of possibility/cja234martdotcom FIN 419 Week 1 Individual Finance lab (New) FOR MORE CLASSES VISIT www.fin419assist.com This Tutorial contains excel sheet P 11-1 Eric has another get-rich-quick idea, but needs funding to support it. He chooses an all-debt funding scenario. He will borrow $3683 from Wendy, who will charge him 7% on the loan. He will also borrow $3165 from Bebe, who will charge him 9% on the loan, and $2152 from Shelly, who will charge him 15% on the loan. What is the weighted average cost of capital for Eric? P11-2 Question : Grey’s pharmaceuticals has a new project that will require funding of $13.0 million. The company has decided to pursue an all-debt scenario. Grey’s has made agreements with four lenders for the needed financing. These lenders will advance the following amounts at the interest rates shown:
FIN 419 ASSIST Career Path Begins/fin419assist.com CJA 234 MART The power of possibility/cja234martdotcom FIN 419 Week 2 DQ 1 FOR MORE CLASSES VISIT www.fin419assist.com What are the three key inputs to the valuation model? How would you determine the valuation of an asset? How would the intrinsic value of assets differ from the market value? Explain.
FIN 419 ASSIST Career Path Begins/fin419assist.com CJA 234 MART The power of possibility/cja234martdotcom FIN 419 Week 2 DQ 2 FOR MORE CLASSES VISIT www.fin419assist.com What is a loan amortization schedule? How would you use it determine your loan interest rate? What factors would impact your choice between two loans?
FIN 419 ASSIST Career Path Begins/fin419assist.com CJA 234 MART The power of possibility/cja234martdotcom FIN 419 Week 2 DQ 3 FOR MORE CLASSES VISIT www.fin419assist.com What is the difference between present values and future values? How would you use present and future value techniques in preparing a financial plan for retirement? How would various required rates of return affect your decision? Explain.
FIN 419 ASSIST Career Path Begins/fin419assist.com CJA 234 MART The power of possibility/cja234martdotcom FIN 419 Week 2 DQ 4 FOR MORE CLASSES VISIT www.fin419assist.com How would the intrinsic value of assets differ from the market value? Explain.
FIN 419 ASSIST Career Path Begins/fin419assist.com CJA 234 MART The power of possibility/cja234martdotcom FIN 419 Week 2 Individual My FinanceLab (NEW) FOR MORE CLASSES VISIT www.fin419assist.com This Tutorial comes with a excel sheet P3-1 Future Value. Fill in the future values for the following table using one of the three methods below: a. Use the future value formula, FV = PV*(1+r)n. b. Use the TVM keys from a calculor. c. Use the TVM function in a spreadsheet. P3 – 4 Future Value. Grand opening Bank is offering a one-time investment opportunity for its new customer. A customer opening a new checking account can buy a special saving bond for $ 400 today
FIN 419 ASSIST Career Path Begins/fin419assist.com CJA 234 MART The power of possibility/cja234martdotcom FIN 419 Week 2 Team Assignment Evaluating Financial Statements (2 Papers) FOR MORE CLASSES VISIT www.fin419assist.com This Tutorial contains 2 Papers Research two companies' financial statements from one of the following industries: Airline Automotive Pharmaceutical Oil/gas Retail Computer Hardware Analyze table 14.8 in Financial Management: Core Concepts, Ch. 14: "Financial Ratios: Industry Averages." Prepare the following ratios for the two sets of financial statements in Microsoft® Excel®:
FIN 419 ASSIST Career Path Begins/fin419assist.com CJA 234 MART The power of possibility/cja234martdotcom FIN 419 Week 2 Team Problem Set FOR MORE CLASSES VISIT www.fin419assist.com Complete the following problem sets in Financial Management using Microsoft® Excel®: Chapter 2: 1, 2, 3, 4 Chapter 5: 1, 3, 5, 7 Chapter 5: Advanced Problems 1a and 1b Chapter 14: 9, 10, 11, 12 Format your assignment consistent with APA guidelines. Click the Assignment Files tab to submit your assignment. Chapter 2: Problem 1 1. Balance sheet. From the following balance sheet accounts, a. construct a balance sheet for 2013 and 2014. b. list all the working capital accounts.
FIN 419 ASSIST Career Path Begins/fin419assist.com CJA 234 MART The power of possibility/cja234martdotcom FIN 419 Week 3 DQ 1 FOR MORE CLASSES VISIT www.fin419assist.com What is zero working capital? How would you define zero working capital? When would this methodology be used? Would this model be applicable to all organizations? Explain.
FIN 419 ASSIST Career Path Begins/fin419assist.com CJA 234 MART The power of possibility/cja234martdotcom FIN 419 Week 3 DQ 2 FOR MORE CLASSES VISIT www.fin419assist.com What is an asset? What is a liability? What is the difference between assets and liabilities? Can an organization operate without current liabilities? Explain
FIN 419 ASSIST Career Path Begins/fin419assist.com CJA 234 MART The power of possibility/cja234martdotcom FIN 419 Week 3 Individual Assignment Biocom, Inc. Case Study FOR MORE CLASSES VISIT www.fin419assist.com Read the "Mini-Case Biocom, Inc.: Part 2, Evaluating a New Product Line" from the end of Chapter 10 of Financial Management: Core Concepts. Complete questions 1-7 in Microsoft® Excel. Evaluate the following in a 350-word response: Explain what depreciation, cash flow, operating cash flow and NPV are and how they interact with business decisions. Explain why these financial concepts are important for you as an employee, owner, or investor. Format your assignment consistent with APA guidelines.
FIN 419 ASSIST Career Path Begins/fin419assist.com CJA 234 MART The power of possibility/cja234martdotcom FIN 419 Week 3 Individual My FinanceLab (NEW) FOR MORE CLASSES VISIT www.fin419assist.com This Tutorial contains excel sheet P10-4 (similar to) Opportunity cost. Richardses' Tree Farm, Inc. has branched into gardening over the years and is now considering adding patio furniture to its product lineup. Currently, the area where the patio furniture is to be displayed is a vacant slab of concrete attached to the indoor shop. The company originally paid $8000 to put in the slab of concrete three years ago. It would now cost $13000 to put in the same slab of concrete. Should the company consider the concrete slab when expanding its outdoor garden shop to include patio furniture? If yes, which value should it use?Should the company consider the concrete slab when expanding its outdoor garden shop to include patio furniture? If yes, which value should it use?
FIN 419 ASSIST Career Path Begins/fin419assist.com CJA 234 MART The power of possibility/cja234martdotcom FIN 419 Week 4 DQ 1 FOR MORE CLASSES VISIT www.fin419assist.com What is the difference between operating and financial leverage? What is the importance of assessing operating vs. financial leverage?
FIN 419 ASSIST Career Path Begins/fin419assist.com CJA 234 MART The power of possibility/cja234martdotcom FIN 419 Week 4 DQ 2 FOR MORE CLASSES VISIT www.fin419assist.com What is investment banking? How would the investment banker assist an organization in going public? As a CFO, what information would you need to select an investment banker?
FIN 419 ASSIST Career Path Begins/fin419assist.com CJA 234 MART The power of possibility/cja234martdotcom FIN 419 Week 4 DQ 3 FOR MORE CLASSES VISIT www.fin419assist.com What are the risks of having an excessive amount of financial leverage in an organization? What is the degree of total leverage?
FIN 419 ASSIST Career Path Begins/fin419assist.com CJA 234 MART The power of possibility/cja234martdotcom FIN 419 Week 4 DQ 4 FOR MORE CLASSES VISIT www.fin419assist.com What is EBIT-EPS analysis? What is the indifference curve? How is risk factored into the EBIT-EPS analysis? What are the “basic short comings” of EBIT’s analyses?
FIN 419 ASSIST Career Path Begins/fin419assist.com CJA 234 MART The power of possibility/cja234martdotcom FIN 419 Week 4 Individual My FinanceLab (New) FOR MORE CLASSES VISIT www.fin419assist.com P9-7 Net present value. Quark Industries has a project with the following projected cash flows: a. Using a discount rate of 9% for this project and the NPV model, determine whether the company should accept or reject this project. b. Should the company accept or reject it using a discount rate of 17%? c. Should the company accept or reject it using a discount rate of 18%? P9-8 (similar to)
FIN 419 ASSIST Career Path Begins/fin419assist.com CJA 234 MART The power of possibility/cja234martdotcom FIN 419 Week 4 Team Assignment Problem Sets FOR MORE CLASSES VISIT www.fin419assist.com In case different Questions/problems are asked by your instructor just email me Complete the following problem sets in Financial Management using Microsoft® Excel®: Chapter 7 : 5, 15 Chapter 9 : 10 Chapter 11 : 12 Chapter 16: 9, 10 Chapter 7 5. King Waterbeds has an annual cash dividend policy that raises the dividend each year